COVID-19 threatens gains of past decades

Kathmandu, Sept. 17

The COVID-19 pandemic threatens hard-won gains in health and education over the past decade, especially in the poorest countries, according to a new World Bank Group analysis.

The World Bank Group’s 2020 Human Capital Index shows that before the pandemic most countries made steady progress in building human capital of children with the biggest strides made in low-income countries.

Due to the pandemic's impact, most children – more than 1 billion globally – have been out of school and could lose, on average, half a year of schooling, translating into considerable monetary losses in the future.

Data also shows significant disruptions to essential health services for women and children, with many children missing out on crucial vaccinations.

The economic impact of the pandemic has been particularly deep for women and for the most disadvantaged families, leaving many vulnerable to food insecurity and poverty.

In Nepal, children born today will be 50 per cent as productive when they grow up as they would be if they enjoyed complete education and full health.

This is higher than the average for South Asia region and higher than average for countries with similar level of income. This is largely due to an improvement in school enrollment and institutionalizing the measurement of student learning.

Investments in human capital—the knowledge, skills, and health that people accumulate over their lives—are key to unlocking a child’s potential and to improving economic growth in every country.

“Investment in human capital is just as important as investment in infrastructure, if not more, and brings returns in the form of a healthier and more productive workforce in the long run,” stated Faris Hadad-Zervos, World Bank Country Director for Maldives, Nepal and Sri Lanka.

He said that there was a need for an accelerated push to focus on investing in human capital in the recovery and rebuilding phases after the pandemic.

This requires close collaborations among all three levels of the government in order to bring about large and sustainable changes, said Hadad-Zervos.

In Nepal, it is essential to invest more in the early years, with a focus on those children who have been left behind, recommends the World Bank.

This includes safeguarding access to nutritious, safe and affordable diets and providing opportunities for learning and stimulation especially for the poorest and most-affected households. Given the current high cost of medical care, resources can be refocused towards ensuring universal access to quality essential primary, emergency and referral health services, said the WB.

Published in The Rising Nepal daily on 18 September 2020.